# N.D. Cent. Code § 26.1-26-02: 26.1-26-02. Definitions

> North Dakota · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-02

## Section

- **Citation:** N.D. Cent. Code § 26.1-26-02
- **Heading:** 26.1-26-02. Definitions
- **Jurisdiction:** North Dakota
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** ND Code / Title 26.1 / Chapter 26.1-26 / Section 26.1-26-02

## Text

26.1-26-02. Definitions

As used in this chapter, unless the context requires otherwise:

1. "Active participation" means:

a. Attendance at a formal meeting of a professional insurance association at which

a formal business program is presented;

b. Service on the board of directors or a formal committee of a professional

insurance association and involvement in the activities of the board or committee;

or

c. Participation in industry, regulatory, or legislative meetings held by or on behalf of

a professional insurance association.

2. "Business entity" means a corporation, association, partnership, limited liability

company, limited liability partnership, or other legal entity.

3. "Home state" means the District of Columbia and any state or territory of the United

States in which an insurance producer maintains the producer's principal place of

residence or principal place of business and is licensed to act as an insurance

producer.

4. "Insurance" means any of the lines of authority in section 26.1-26-11.

5. "Insurance consultant" means a person that, for a fee, holds oneself or itself out to the

public as engaged in the business of offering any advice, counsel, opinion, or service

with respect to the benefits, advantages, or disadvantages promised under any

insurance policy that could be issued in this state.

6. "Insurance producer" means a person required to be licensed under the laws of this

state to sell, solicit, or negotiate insurance.

7. "Insurer" means all types of insurance companies as well as prepaid legal services

organizations and health maintenance organizations.

8. "License" means a document issued by the commissioner authorizing a person to act

as an insurance producer for the lines of authority specified in the document. The

license itself does not create any authority, actual, apparent, or inherent, in the holder

to represent or commit an insurance carrier.

9. "Negotiate" means the act of conferring directly with or offering advice directly to a

purchaser or prospective purchaser of a particular contract of insurance concerning

any of the substantive benefits, terms, or conditions of the contract, provided that the

person engaged in that act either sells insurance or obtains insurance from insurers for

purchasers.

10. "Person" means an individual or a business entity.

11. "Professional insurance association" means a state or national membership

organization that offers courses, lectures, seminars, or other instructional programs

certified by the commissioner as approved continuing education activities pursuant to

section 26.1-26-31.3; is organized as an association or corporation for the express

purpose of promoting the interests of insurance licensees in this state or nationally;

and is based on paid membership renewable annually or biennially for a membership

fee.

12. "Sell" means to exchange a contract of insurance by any means, for money or its

equivalent, on behalf of an insurance company.

13. "Solicit" means attempting to sell insurance or asking or urging a person to apply for a

particular kind of insurance from a particular company.

14. "Surplus lines insurance producer" means a person that sells, solicits, negotiates, or

procures an insurance policy from an insurer not licensed to transact business in this

state which cannot be procured from an insurer licensed to do business in this state.

15. "Terminate" means the cancellation of the relationship between an insurance producer

and the insurer or the termination of a producer's authority to transact insurance.

16. "Uniform application" means the current version of the national association of

insurance commissioners uniform application for resident and nonresident insurance

producer licensing.

17. "Uniform business entity application" means the current version of the national

association of insurance commissioners uniform business entity application for

resident and nonresident business entities.

## Nearby sections

- [N.D. Cent. Code § 26.1-26-01 26.1-26-01. Scope](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-01.md)
- [N.D. Cent. Code § 26.1-26-02 26.1-26-02. Definitions](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-02.md)
- [N.D. Cent. Code § 26.1-26-03 26.1-26-03. License required - Acting as insurance producer or consultant without license prohibited - Penalty](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-03.md)
- [N.D. Cent. Code § 26.1-26-04 26.1-26-04. Commissions](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-04.md)
- [N.D. Cent. Code § 26.1-26-04.1 26.1-26-04.1. Fees for services - Rules](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-04.1.md)
- [N.D. Cent. Code § 26.1-26-05 26.1-26-05. Unlicensed person - Effect - Agent for insurer](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-05.md)
- [N.D. Cent. Code § 26.1-26-06 26.1-26-06. Insurance producer - Agent of insurer](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-06.md)
- [N.D. Cent. Code § 26.1-26-07 26.1-26-07. Insurance producer - Agent of insured](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-07.md)
- [N.D. Cent. Code § 26.1-26-08 26.1-26-08. Licensing of partnership, limited liability partnership, corporation, or limited liability company - Notice of change of individuals](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-08.md)
- [N.D. Cent. Code § 26.1-26-09 26.1-26-09. Exceptions to licensing requirements](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-09.md)
- [N.D. Cent. Code § 26.1-26-10 26.1-26-10. Consultant - Exceptions to licensing requirement](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-10.md)
- [N.D. Cent. Code § 26.1-26-11 26.1-26-11. License of insurance producer - Lines of insurance](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-11.md)
- [N.D. Cent. Code § 26.1-26-11.1 26.1-26-11.1. Authority to define procedures and requirements](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-11.1.md)
- [N.D. Cent. Code § 26.1-26-12 26.1-26-12. License application - Accompanied by fees](https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-12.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_ND_T26.1_C26.1-26_S26.1-26-02. Check the current official text before relying on it. Not legal advice.
